UAE demand for hybrid and electric cars grows as petrol prices rise

Hybrid cars use two sources of power: petrol and an electric motor. Electric vehicles have a battery and an electric motor.

“Demand for electric vehicles is stronger than it has ever been,” said Vincent Wijnen, senior managing director at the company.

“This can be attributed not just to the high fuel prices, which are helping to accelerate the growth, but also due to the growing customer awareness and acceptance of the technology… (and) environmental advantages.

Globally, there are just under 20 million passenger EVs on the road (including plug-in hybrids), representing 1.5% of the global fleet according to Bloomberg NEF’s Electric Vehicle Outlook 2022. Analysts have predicted that figure will double again by the end of next year.

The report also says that EV sales in the US - 5% of new car sales - have passed a critical tipping point that signals the start of mass EV adoption. A recent report, commissioned by Audi Abu Dhabi and produced by YouGov, found that 52 per cent of customers are looking to switch to hybrid/electric vehicles.

A quarter of the 1,000 people surveyed said they are waiting for more EV options to be launched before making a purchase, while 14 per cent expressed buyers' remorse after purchasing a petrol car instead of a hybrid.

Motorists have to weigh up what is typically a larger initial purchase price for electric and hybrid vehicles against long-term servings. However, Mark Austin, general manager of Audi Abu Dhabi, said motorists can save money with electric vehicles.

“Interest in EVs has continued to grow organically over time, however increasing petrol prices has certainly accelerated the shift in consumers attitude towards EV adoption,” he said.

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“When considering energy efficiency across the full lifecycle of producing, transporting and using fuel – typically referred to as ‘well to wheel’ – electric vehicles offer high efficiency and the lowest carbon emissions per mile.

“Depending on the type of car you drive, the average cost of filling a fuel tank can be upwards of Dh270 versus Dh8.25 to fully charge an EV battery with a 110 kWh charger. With EVs, owners also save on operating expenses."

Mr Wijnen said its Toyota Hybrid sales have grown consistently year-on-year since 2016.

The EV market in the country is still in its infancy, despite policies over the years that have made it easier to use electric vehicles, including increasing the number of charging stations, and free Salik and reserved parking in Dubai. Many public taxis are now hybrid models, however.

Vitali Bielski, associate director of mobility at Frost and Sullivan, a growth strategy and consultancy company, emphasise the need for a country-wide roadmap.